Havas net income up 5%

PETEAUX, FRANCE: Havas Group reported on Thursday a 9.1% increase in income from operations in 2012 to $309.7 million. The holding company's net income was up 5% year-over-year to $162.6 million.

PETEAUX, FRANCE: Havas Group reported on Thursday a 9.1% increase in income from operations in 2012 to $309.7 million. The holding company's net income was up 5% year-over-year to $162.6 million.

Full-year revenue at the holding company, which owns and operates Havas PR, Abernathy MacGregor, and Cake, among other firms, rose to $2.38 billion, representing 2.1% organic revenue growth compared with the previous year.

In North America, full-year revenue was $789.8 million, up 3.3% organically. Growth in Europe was flat, with revenue of $1.18 billion.

Asia-Pacific and Africa saw the year's revenue grow organically by 8.7% to $174 million in 2012. Meanwhile, Latin American grew 8.8% organically, with the group reporting revenues of $231.7 million in the region for the year.

Net new business was $2.2 billion last year, up 22% compared with 2011. A notable win for Havas Worldwide PR in North America was Pernod Ricard's new vodka brand Oddka.

Digital and social media made up 26% of Havas' revenue last year.

“We continued to deliver sequential year-over-year margin improvement with further potential in the years ahead,” Havas CEO David Jones said in a statement. “New business performance in 2012 was strong by agencies at global, regional, and local level, and we continued to grow both our emerging markets as well as our digital business.”

“The simplification of our group structure and network branding reinforces our agile and integrated organization with digital at the core, which we believe gives us unique competitive advantages within the industry,” he said.

In February, Havas reported 1.1% organic revenue growth in the fourth quarter of 2012, generating $697.5 million, compared with the same period of the previous year.

North American quarterly revenue reached $214.2 million in the quarter, up 6.5% organically from Q4 2011. Fourth-quarter revenue in Europe shrunk 3.2% to $354.8 million.

The holding company did not break out revenues for Havas Worldwide PR.

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